Alvaro Manoel recommends a new IMF Policy Paper has been published: Fiscal Rules-Anchoring Expectations for Sustainable Public Finances. Abstract: The sharp increase in fiscal deficits and public debt in most advanced and several developing economies has raised concerns about the sustainability of public finances and highlighted the need for a significant adjustment over the medium term. This paper assesses the usefulness of fiscal rules in supporting fiscal consolidation, discusses the design and implementation of rules based on a new data base spanning the whole Fund membership, and explores the fiscal framework that could be adopted as countries emerge from the crisis.
http://www.imf.org/external/pp/longres.aspx?id=4402
Fiscal Rules (FAD/IMF)
